Forecasts for next week: US inflation in the spotlight… and more statements from the Federal Reserve!

The Dollar experienced a decent recovery this week, against a backdrop of widespread erratic behavior in the currency space, continued monetary policy divergence, and a cautious speech from the Federal Reserve.

The US Dollar managed to reverse two weeks of losses and reclaim the zone beyond the 105.00 barrier amid some consolidation mood in US yields. Producer prices will be released on May 14, followed by CPI, retail sales, business inventories and the NAHB housing market index, all on May 15. On May 16, the Philadelphia Fed manufacturing index will be released, as well as initial jobless claims, building permits, housing starts and industrial production. Finally, on May 17 the leading CB index will be published.

The EUR/USD pair managed to close its fourth consecutive week of increases, although at the moment it seems difficult to test or overcome the 1.0800 barrier. On May 14, Germany's final inflation rate will be published, as well as ZEW economic sentiment in Germany and the euro zone as a whole. Another revision of the EMU GDP growth rate is expected on May 15, followed by the euro bloc's final inflation rate on May 17.

The GBP/USD fell noticeably and ended the week in negative territory amid the rebound of the Dollar, while investors continued to value the BoE event and the positive results of the main fundamental indicators. The British labor market report will be published on May 14, while the BoE will release its financial stability report on May 16.

The USD/JPY resumed its upward trend, largely thanks to the increasing depreciation of the Japanese yen, even though the specter of intervention in the currency market remains latent. On May 14, production prices will be published, and on May 16, preliminary data on the GDP growth rate and foreign investment in bonds. The final industrial production figures will close the agenda on May 17.

A choppy week led AUD/USD to close the week slightly on the defensive around the key 0.6600 zone. The Australian wage price index will be published on May 15 and the labor market report on May 16.

Anticipating economic prospects: Voices on the horizon

• Mester and the Fed's Jefferson will speak on May 13.
• Powell and Cook of the Fed will speak on May 14 along with Pill of the BoE.
• The Fed's Bowman intervenes on May 15.
• Mester, Barr and Bostic of the Fed will intervene on May 16, along with Hunter of the RBA and Greene of the BoE.
• The Fed's Waller and the BoE's Mann will speak on May 17.

Central banks: Upcoming meetings to define monetary policy

• The Bangko Sentral ng Pilipinas (BSP) will hold its meeting on May 16.